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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) October 24, 2023
MidWestOne Financial Group, Inc.
(Exact name of registrant as specified in its charter)
Commission file number 001-35968
 
Iowa 42-1206172
(State or other jurisdiction
of incorporation)
 
(I.R.S. Employer
Identification Number)
102 South Clinton Street
Iowa City, Iowa 52240
(Address of principal executive offices, including zip code)
(319) 356-5800
(Registrant’s telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):
 
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common stock, $1.00 par valueMOFGThe Nasdaq Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934.
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐


Item 2.02.     Results of Operations and Financial Condition.
On October 26, 2023, MidWestOne Financial Group, Inc. (the “Company”) issued a press release announcing its earnings for the three months and nine months ended September 30, 2023. The press release is furnished herewith as Exhibit 99.1. In addition, the Company is providing a financial supplement furnished as Exhibit 99.2 to this Current Report on Form 8-K.
The information in this item and the attached press release and financial supplement shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in any such filing.
Item 8.01.    Other Events.
The Board of Directors of the Company declared a cash dividend of $0.2425 per common share on October 24, 2023. The dividend is payable December 15, 2023, to shareholders of record at the close of business on December 1, 2023.
Item 9.01.    Financial Statements and Exhibits.
(d)    Exhibits.
MidWestOne Financial Group, Inc. press release dated October 26, 2023
MidWestOne Financial Group, Inc. financial supplement dated October 26, 2023
104Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

MIDWESTONE FINANCIAL GROUP, INC.
Dated:October 26, 2023By:
/s/ BARRY S. RAY
Barry S. Ray
Chief Financial Officer




mofglogoa01a.jpg
FOR IMMEDIATE RELEASEOctober 26, 2023

MIDWESTONE FINANCIAL GROUP, INC. REPORTS
FINANCIAL RESULTS FOR THE
THIRD QUARTER OF 2023

Iowa City, Iowa - MidWestOne Financial Group, Inc. (Nasdaq: MOFG) (“we”, “our”, or the "Company”) today reported results for the third quarter of 2023.
Third Quarter 2023 Highlights1
•Net income of $9.1 million, or $0.58 per diluted common share, compared to net income of $7.6 million, or $0.48 per diluted common share, for the linked quarter.
•Annualized loan growth of 4.8%.
•Core deposits increased $83.2 million or 2%.
•Nonperforming assets ratio of 0.45%; net charge-off ratio was 0.04%.
•Efficiency ratio improved to 66.06%.
•Announced sale of Florida operations and acquisition of Denver Bankshares, Inc. ("Denver Bankshares") in strategic geographic repositioning.
Subsequent Events
•On October 24, 2023, the Board of Directors declared a cash dividend of $0.2425 per common share.
CEO COMMENTARY
Charles (Chip) Reeves, Chief Executive Officer of the Company, commented, “Despite the difficult interest rate environment, which continues to compress our net interest margin, we had another strong quarter of strategic plan execution, highlighted by the September announcement of the sale of our Florida operations, with the proceeds reinvested into the acquisition of Denver Bankshares. These two transactions align our geographic footprint with our Strategic Plan, while accelerating our Denver market growth by three to four years. We are confident in our ability to integrate this low-risk merger, while continuing our growth trajectory in the attractive Denver MSA. Also, in the third quarter of 2023, our Treasury Management initiatives and client acquisition strategies resulted in balanced loan and deposit growth, providing ample flexibility for future, selective loan growth. Asset quality metrics were affected by one senior living credit moving to non-accrual, however, charge-offs and 30-89 day past dues remain at historically low levels. We remain diligent as uncertain economic conditions begin to normalize asset quality migration.”

Mr. Reeves continued, “While we continue to invest for growth, we are also laser focused on improving our operational effectiveness. Expenses in the quarter were well-controlled and our cost savings initiative to reduce noninterest expense by 2.5% is well underway. To conclude, we've made substantial progress executing our strategic initiatives over the last two quarters, and while we have more to do, I could not be more pleased with our team and the execution of our strategic initiatives.”

1 Third Quarter Summary compares to the second quarter of 2023 (the "linked quarter") unless noted.
                                    

As of or for the quarter endedNine Months Ended
(Dollars in thousands, except per share amounts and as noted)September 30,June 30,September 30,September 30,September 30,
20232023202220232022
Financial Results
Revenue$44,436 $45,708 $58,321 $126,174 $159,373 
Credit loss expense 1,551 1,597 638 4,081 3,920 
Noninterest expense31,544 34,919 34,623 99,782 98,348 
Net income 9,138 7,594 18,317 18,129 44,833 
Per Common Share
Diluted earnings per share$0.58 $0.48 $1.17 $1.15 $2.86 
Book value32.21 31.96 30.23 32.21 30.23 
Tangible book value(1)
26.60 26.26 24.17 26.60 24.17 
Balance Sheet & Credit Quality
Loans In millions
$4,066.0 $4,018.6 $3,746.3 $4,066.0 $3,746.3 
Investment securities In millions
1,958.5 2,003.1 2,299.9 1,958.5 2,299.9 
Deposits In millions
5,363.3 5,445.4 5,476.8 5,363.3 5,476.8 
Net loan charge-offs In millions
0.5 0.9 0.6 1.7 3.1 
Allowance for credit losses ratio1.27 %1.25 %1.39 %1.27 %1.39 %
Selected Ratios
Return on average assets0.56 %0.47 %1.13 %0.37 %0.97 %
Net interest margin, tax equivalent(1)
2.35 %2.52 %3.08 %2.54 %2.92 %
Return on average equity7.14 %6.03 %14.56 %4.81 %11.81 %
Return on average tangible equity(1)
9.68 %8.50 %19.32 %7.03 %15.28 %
Efficiency ratio(1)
66.06 %71.13 %53.67 %66.40 %56.70 %
(1) Non-GAAP measure. See the Non-GAAP Measures section for a reconciliation to the most directly comparable GAAP measure.

REVENUE REVIEW

RevenueChangeChange
3Q23 vs3Q23 vs
(Dollars in thousands)3Q232Q233Q222Q233Q22
Net interest income$34,575 $36,962 $45,733 (6)%(24)%
Noninterest income9,861 8,746 12,588 13 %(22)%
Total revenue, net of interest expense$44,436 $45,708 $58,321 (3)%(24)%
Total revenue for the third quarter of 2023 decreased $1.3 million from the second quarter of 2023 as a result of lower net interest income, partially offset by higher noninterest income. Compared to the third quarter of 2022, total revenue decreased $13.9 million due to lower net interest income and noninterest income.
Net interest income of $34.6 million for the third quarter of 2023 decreased $2.4 million from the second quarter of 2023 and $11.2 million from the third quarter of 2022 as a result of higher funding costs and volumes and lower interest earning asset volumes, partially offset by higher interest earning asset yields.
The Company's tax equivalent net interest margin was 2.35% in the third quarter of 2023 compared to 2.52% in the second quarter of 2023, as higher earning asset yields were more than offset by increased funding costs. The cost of interest bearing liabilities increased 35 basis points ("bps") to 2.33%, due to interest bearing deposit costs of 2.05%, short-term borrowing costs of 4.29%, and long-term debt costs of 6.78%, which increased 26 bps, 138 bps and 40 bps, respectively from the second quarter of 2023. Total interest earning assets yield increased 12 bps from the second quarter of 2023, as a result of an increase in loan and securities yields of 14 bps and 1 bp, respectively. Our cycle-to-date interest bearing deposit beta was 34%.
The tax equivalent net interest margin was 2.35% in the third quarter of 2023 compared to 3.08% in the third quarter of 2022, driven by higher funding costs and volumes, partially offset by higher interest earning asset yields. The cost of interest bearing liabilities increased 169 bps to 2.33%, due to interest bearing deposit costs of 2.05%, short-term borrowing costs of 4.29%, and long-term debt costs of 6.78%, which increased 159 bps, 295 bps and 208 bps, respectively from the third quarter of 2022. Total interest earning assets yield increased 67 bps from the third quarter of 2022, primarily as a result of an increase in loan and securities yields of 75 bps and 9 bps, respectively.


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Noninterest IncomeChangeChange
3Q23 vs3Q23 vs
(In thousands)3Q232Q233Q222Q233Q22
Investment services and trust activities$3,004 $3,119 $2,876 (4)%4 %
Service charges and fees2,146 2,047 2,075 5 %3 %
Card revenue1,817 1,847 1,898 (2)%(4)%
Loan revenue1,462 909 1,722 61 %(15)%
Bank-owned life insurance626 616 579 2 %8 %
Investment securities gains (losses), net79 (2)(163)n / m(148)%
Other727 210 3,601 246 %(80)%
Total noninterest income$9,861 $8,746 $12,588 13 %(22)%
Results are not meaningful (n/m)
Noninterest income for the third quarter of 2023 increased $1.1 million from the linked quarter due primarily to a $0.6 million favorable change in loan revenue, coupled with a $0.5 million increase in other revenue. Loan revenue reflected a favorable quarter-over quarter change in the fair value of our mortgage servicing rights of $0.9 million, partially offset by a decrease in loan sale gains generated by our governmental lending business and a decrease in revenue in our mortgage origination business. Other revenue reflected an increase of $0.6 million in swap origination fee income. Noninterest income decreased $2.7 million from the third quarter of 2022, primarily due to the decline of $2.9 million in other revenue stemming from a one-time settlement recognized in the third quarter of 2022.

EXPENSE REVIEW
Noninterest ExpenseChangeChange
3Q23 vs2Q23 vs
(In thousands)3Q232Q233Q222Q233Q22
Compensation and employee benefits$18,558 $20,386 $20,046 (9)%(7)%
Occupancy expense of premises, net2,405 2,574 2,577 (7)%(7)%
Equipment2,123 2,435 2,358 (13)%(10)%
Legal and professional1,678 1,682 2,012 — %(17)%
Data processing1,504 1,521 1,731 (1)%(13)%
Marketing782 1,142 1,139 (32)%(31)%
Amortization of intangibles1,460 1,594 1,789 (8)%(18)%
FDIC insurance783 862 415 (9)%89 %
Communications206 260 302 (21)%(32)%
Foreclosed assets, net2 (6)42 (133)%(95)%
Other2,043 2,469 2,212 (17)%(8)%
     Total noninterest expense $31,544 $34,919 $34,623 (10)%(9)%
Merger-related Expenses
(In thousands)3Q232Q233Q22
Compensation and employee benefits$— $— $132 
Equipment— — 14 
Legal and professional11 — 193 
Data processing— — 304 
Marketing— — 90 
Other— — 30 
Total merger-related expenses$11 $— $763 

Noninterest expense for the third quarter of 2023 decreased $3.4 million, or 9.7%, from the linked quarter with overall decreases in all noninterest expense categories except foreclosed assets, net. The decrease in compensation and employee benefits reflected a reduction of $1.1 million in severance expense, as well as a reduction of $1.1 million in medical insurance benefit expense, driven primarily by accrual adjustments. The $0.4 million decline in other noninterest expense was driven by various changes, including $0.2 million of executive relocation expense recognized in the linked quarter that did not recur and reduced loan expenses by $0.2 million. The $0.4 million decrease in marketing reflected a decline in advertising and sponsorships.


3

Noninterest expense for the third quarter of 2023 decreased $3.1 million, or 8.9%, from the third quarter of 2022, with overall decreases in all noninterest expense categories except FDIC insurance. These decreases primarily reflected a $1.8 million decline in employee benefits and incentives and commission expense, coupled with a $0.8 million decrease in merger-related expenses.
The Company's effective income tax rate increased to 19.4% in the third quarter of 2023 compared to 17.4% in the linked quarter. The higher effective income tax rate reflected an adjustment to the full-year 2023 estimated taxable income in the Company's annual effective tax rate calculation. The effective income tax rate for the full year 2023 is expected to be in the range of 18% - 20%.

BALANCE SHEET REVIEW
Total assets were $6.47 billion at September 30, 2023, compared to $6.52 billion at June 30, 2023 and $6.49 billion at September 30, 2022. The decrease from June 30, 2023 was driven by lower cash and securities balances, partially offset by higher loan balances. Compared to September 30, 2022, the decrease was due primarily to lower securities balances resulting from the balance sheet repositioning executed in the first quarter of 2023 as well as lower cash balances, partially offset by higher loan balances.
Loans Held for InvestmentSeptember 30, 2023June 30, 2023September 30, 2022
Balance% of TotalBalance% of TotalBalance% of Total
(Dollars in thousands)
Commercial and industrial$1,078,773 26.5 %$1,089,269 27.1 %$1,041,662 27.8 %
Agricultural111,950 2.8 106,148 2.6 116,229 3.1 
Commercial real estate
Construction and development331,868 8.2 313,836 7.8 276,941 7.4 
Farmland182,621 4.5 183,378 4.6 183,581 4.9 
Multifamily337,509 8.3 305,519 7.6 222,592 5.9 
Other1,324,019 32.5 1,331,886 33.1 1,226,983 32.8 
Total commercial real estate2,176,017 53.5 2,134,619 53.1 1,910,097 51.0 
Residential real estate
One-to-four family first liens456,771 11.2 448,096 11.2 446,373 11.9 
One-to-four family junior liens173,275 4.3 168,755 4.2 157,276 4.2 
Total residential real estate630,046 15.5 616,851 15.4 603,649 16.1 
Consumer69,183 1.7 71,762 1.8 74,652 2.0 
Loans held for investment, net of unearned income$4,065,969 100.0 %$4,018,649 100.0 %$3,746,289 100.0 %
Total commitments to extend credit$1,251,345 $1,296,719 $1,159,323 
Loans held for investment, net of unearned income, increased $47.3 million, or 1.2%, to $4.07 billion from $4.02 billion at June 30, 2023. This increase was driven by new loan production in the third quarter of 2023.
Investment SecuritiesSeptember 30, 2023June 30, 2023September 30, 2022
(Dollars in thousands)Balance% of TotalBalance% of TotalBalance% of Total
Available for sale$872,770 44.6 %$903,520 45.1 %$1,153,304 50.1 %
Held to maturity1,085,751 55.4 %1,099,569 54.9 %1,146,583 49.9 %
Total investment securities$1,958,521 $2,003,089 $2,299,887 
Investment securities at September 30, 2023 were $1.96 billion, decreasing $44.6 million from June 30, 2023 and $341.4 million from September 30, 2022. The decrease from the second quarter of 2023 was due primarily to paydowns, calls, and maturities. The decrease from the third quarter of 2022 was due primarily to the balance sheet repositioning executed in the first quarter of 2023.


4

DepositsSeptember 30, 2023June 30, 2023September 30, 2022
(Dollars in thousands)Balance% of TotalBalance% of TotalBalance% of Total
Noninterest bearing deposits$924,213 17.2 %$897,923 16.5 %$1,139,694 20.8 %
Interest checking deposits1,334,481 24.9 1,397,276 25.7 1,705,289 31.2 
Money market deposits1,127,287 21.0 1,096,432 20.1 991,783 18.1 
Savings deposits619,805 11.6 585,967 10.8 700,843 12.8 
Time deposits of $250 and under703,646 13.1 648,586 11.9 537,616 9.8 
Total core deposits4,709,432 87.8 4,626,184 85.0 5,075,225 92.7 
Brokered time deposits220,063 4.1 365,623 6.7 — — 
Time deposits over $250 433,829 8.1 453,640 8.3 401,557 7.3 
Total deposits
$5,363,324 100.0 %$5,445,447 100.0 %$5,476,782 100.0 %

Total deposits declined $82.1 million, or 1.5%, to $5.36 billion from $5.45 billion at June 30, 2023. Brokered deposits decreased $145.6 million from $365.6 million at June 30, 2023. Core deposits increased $83.2 million from June 30, 2023.

Borrowed FundsSeptember 30, 2023June 30, 2023September 30, 2022
(Dollars in thousands)Balance% of TotalBalance% of TotalBalance% of Total
Short-term borrowings$373,956 75.0 %$362,054 74.2 %$304,536 66.4 %
Long-term debt124,526 25.0 %125,752 25.8 %154,190 33.6 %
Total borrowed funds$498,482 $487,806 $458,726 

Total borrowed funds were $498.5 million at September 30, 2023 an increase of $10.7 million from June 30, 2023 and an increase of $39.8 million from September 30, 2022. The increase when compared to the linked quarter was due to increased Federal Home Loan Bank overnight borrowings, partially offset by a reduction in securities sold under agreements to repurchase. The increase when compared to September 30, 2022 was primarily due to Bank Term Funding Program borrowings of $225 million, as compared to no such borrowings in the prior year, partially offset by a reduction in securities sold under agreements to repurchase and Federal Home Loan Bank overnight borrowings.


5

CapitalSeptember 30,June 30,September 30,
(Dollars in thousands)
2023 (1)
20232022
Total shareholders' equity$505,411 $501,341 $472,229 
Accumulated other comprehensive loss(84,606)(82,704)(96,623)
MidWestOne Financial Group, Inc. Consolidated
Tier 1 leverage to average assets ratio8.58 %8.47 %8.24 %
Common equity tier 1 capital to risk-weighted assets ratio9.52 %9.36 %9.18 %
Tier 1 capital to risk-weighted assets ratio10.31 %10.15 %9.97 %
Total capital to risk-weighted assets ratio12.45 %12.26 %12.10 %
MidWestOne Bank
Tier 1 leverage to average assets ratio9.51 %9.42 %9.31 %
Common equity tier 1 capital to risk-weighted assets ratio11.43 %11.31 %11.26 %
Tier 1 capital to risk-weighted assets ratio11.43 %11.31 %11.26 %
Total capital to risk-weighted assets ratio12.36 %12.22 %12.17 %
(1) Regulatory capital ratios for September 30, 2023 are preliminary
Total shareholders' equity at September 30, 2023 increased $4.1 million from June 30, 2023, driven by the benefit of third quarter net income, partially offset by an increase in accumulated other comprehensive loss and dividends paid during the third quarter of 2023.
Accumulated other comprehensive loss at September 30, 2023 increased $1.9 million compared to June 30, 2023, primarily due to a decrease in available for sale securities valuations. Accumulated other comprehensive loss decreased $12.0 million from September 30, 2022.
On October 24, 2023, the Board of Directors of the Company declared a cash dividend of $0.2425 per common share. The dividend is payable December 15, 2023, to shareholders of record at the close of business on December 1, 2023.
No common shares were repurchased by the Company during the period June 30, 2023 through September 30, 2023 or for the subsequent period through October 26, 2023. The current share repurchase program allows for the repurchase of up to $15.0 million of the Company's common shares.


6

CREDIT QUALITY REVIEW

Credit QualityAs of or For the Three Months Ended
September 30,June 30,September 30,
(Dollars in thousands)202320232022
Credit loss expense related to loans$1,651 $1,497 $338 
Net charge-offs451 897 588 
Allowance for credit losses51,600 50,400 52,100 
Pass$3,785,908 $3,769,309 $3,550,695 
Special Mention / Watch163,222 133,904 101,255 
Classified116,839 115,436 94,339 
Loans greater than 30 days past due and accruing$6,449 $6,201 $5,960 
Nonperforming loans$28,987 $14,448 $25,963 
Nonperforming assets28,987 14,448 26,066 
Net charge-off ratio(1)
0.04 %0.09 %0.06 %
Classified loans ratio(2)
2.87 %2.87 %2.52 %
Nonperforming loans ratio(3)
0.71 %0.36 %0.69 %
Nonperforming assets ratio(4)
0.45 %0.22 %0.40 %
Allowance for credit losses ratio(5)
1.27 %1.25 %1.39 %
Allowance for credit losses to nonaccrual loans ratio(6)
178.63 %355.03 %208.18 %
(1) Net charge-off ratio is calculated as annualized net charge-offs divided by the sum of average loans held for investment, net of unearned income and average loans held for sale, during the period.
(2) Classified loans ratio is calculated as classified loans divided by loans held for investment, net of unearned income, at the end of the period.
(3) Nonperforming loans ratio is calculated as nonperforming loans divided by loans held for investment, net of unearned income, at the end of the period.
(4) Nonperforming assets ratio is calculated as nonperforming assets divided by total assets at the end of the period.
(5) Allowance for credit losses ratio is calculated as allowance for credit losses divided by loans held for investment, net of unearned income, at the end of the period.
(6)Allowance for credit losses to nonaccrual loans ratio is calculated as allowance for credit losses divided by nonaccrual loans at the end of the period.
Compared to the linked quarter, nonperforming loans and assets ratios increased 35 bps and 23 bps, respectively, and when compared to the prior year increased 2 bps and 5 bps, respectively, to 0.71% and 0.45%, primarily due to the downgrade of a single commercial relationship.
As of September 30, 2023, the allowance for credit losses was $51.6 million, or 1.27% of loans held for investment, net of unearned income, compared with $50.4 million, or 1.25% of loans held for investment, net of unearned income, at June 30, 2023. Credit loss expense of $1.6 million in the third quarter of 2023 was primarily attributable to loan growth.
Nonperforming Loans Roll ForwardNonaccrual90+ Days Past Due & Still AccruingTotal
(Dollars in thousands)
Balance at June 30, 2023
$14,196 $252 $14,448 
Loans placed on nonaccrual or 90+ days past due & still accruing16,394 140 16,534 
Proceeds related to repayment or sale(799)(1)(800)
Loans returned to accrual status or no longer past due(298)(252)(550)
Charge-offs(603)(39)(642)
Transfers to foreclosed assets(3)— (3)
Balance at September 30, 2023
$28,887 $100 $28,987 

CONFERENCE CALL DETAILS
The Company will host a conference call for investors at 11:00 a.m. CT on Friday, October 27, 2023. To participate, you may pre-register for this call utilizing the following link: https://www.netroadshow.com/events/login?show=03182047&confId=56188. After pre-registering for this event you will receive your access details via email. On the day of the call, you are also able to dial 1-833-470-1428 using an access code of 146099 at least fifteen minutes before the call start time. If you are unable to participate on the call, a replay will be available until January 25, 2024 by calling 1-866-813-9403 and using the replay access code of 205972. A transcript of the call will also be available on the Company’s web site (www.midwestonefinancial.com) within three business days of the call.


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ABOUT MIDWESTONE FINANCIAL GROUP, INC.
MidWestOne Financial Group, Inc. is a financial holding company headquartered in Iowa City, Iowa. MidWestOne is the parent company of MidWestOne Bank, which operates banking offices in Iowa, Minnesota, Wisconsin, Florida, and Colorado. MidWestOne provides electronic delivery of financial services through its website, MidWestOne.bank. MidWestOne Financial Group, Inc. trades on the Nasdaq Global Select Market under the symbol “MOFG”.


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Cautionary Note Regarding Forward-Looking Statements
This release contains certain “forward-looking statements” within the meaning of such term in the Private Securities Litigation Reform Act of 1995. We and our representatives may, from time to time, make written or oral statements that are “forward-looking” and provide information other than historical information. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These factors include, among other things, the factors listed below. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “should,” “could,” “would,” “plans,” “goals,” “intend,” “project,” “estimate,” “forecast,” “may” or similar expressions. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, these statements. Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Additionally, we undertake no obligation to update any statement in light of new information or future events, except as required under federal securities law.
Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors that could have an impact on our ability to achieve operating results, growth plan goals and future prospects include, but are not limited to, the following: (1) the risks of mergers or branch sales (including with Iowa First Bancshares Corp. and Denver Bankshares, Inc.), including, without limitation, the related time and costs of implementing such transactions, integrating operations as part of these transactions and possible failures to achieve expected gains, revenue growth and/or expense savings from such transactions; (2) credit quality deterioration, pronounced and sustained reduction in real estate market values, or other uncertainties, including the impact of inflationary pressures on economic conditions and our business, resulting in an increase in the allowance for credit losses, an increase in the credit loss expense, and a reduction in net earnings; (3) the effects of recent and potential additional increases in inflation and interest rates, including on our net income and the value of our securities portfolio; (4) changes in the economic environment, competition, or other factors that may affect our ability to acquire loans or influence the anticipated growth rate of loans and deposits and the quality of the loan portfolio and loan and deposit pricing; (5) fluctuations in the value of our investment securities; (6) governmental monetary and fiscal policies; (7) changes in and uncertainty related to benchmark interest rates used to price loans and deposits; (8) legislative and regulatory changes, including changes in banking, securities, trade, and tax laws and regulations and their application by our regulators, including the new 1.0% excise tax on stock buybacks by publicly traded companies and any changes in response to the recent failures of other banks; (9) the ability to attract and retain key executives and employees experienced in banking and financial services; (10) the sufficiency of the allowance for credit losses to absorb the amount of actual losses inherent in our existing loan portfolio; (11) our ability to adapt successfully to technological changes to compete effectively in the marketplace; (12) credit risks and risks from concentrations (by geographic area and by industry) within our loan portfolio; (13) the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds, financial technology companies, and other financial institutions operating in our markets or elsewhere or providing similar services; (14) the failure of assumptions underlying the establishment of allowances for credit losses and estimation of values of collateral and various financial assets and liabilities; (15) volatility of rate-sensitive deposits; (16) operational risks, including data processing system failures or fraud; (17) asset/liability matching risks and liquidity risks; (18) the costs, effects and outcomes of existing or future litigation; (19) changes in general economic, political, or industry conditions, nationally, internationally or in the communities in which we conduct business, including the risk of a recession; (20) changes in accounting policies and practices, as may be adopted by state and federal regulatory agencies and the Financial Accounting Standards Board; (21) war or terrorist activities, including the Israeli-Palestinian conflict and the Russian invasion of Ukraine, widespread disease or pandemic, or other adverse external events, which may cause deterioration in the economy or cause instability in credit markets; (22) the occurrence of fraudulent activity, breaches, or failures of our information security controls or cyber-security related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools; (23) the imposition of tariffs or other domestic or international governmental policies impacting the value of the agricultural or other products of our borrowers; (24) effects of the ongoing COVID-19 pandemic, including its effects on the economic environment, our customers, employees and supply chain; (25) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits; (26) the effects of recent developments and events in the financial services industry, including the large-scale deposit withdrawals over a short period of time at other banks that resulted in failure of those institutions; and (27) other risk factors detailed from time to time in Securities and Exchange Commission filings made by the Company.


9

MIDWESTONE FINANCIAL GROUP, INC. AND SUBSIDIARIES
FIVE QUARTER CONSOLIDATED BALANCE SHEETS
 September 30,June 30,March 31,December 31,September 30,
(In thousands)20232023202320222022
ASSETS
Cash and due from banks$71,015 $75,955 $63,945 $83,990 $77,513 
Interest earning deposits in banks3,773 68,603 5,273 2,445 1,001 
Total cash and cash equivalents74,788 144,558 69,218 86,435 78,514 
Debt securities available for sale at fair value872,770 903,520 954,074 1,153,547 1,153,304 
Held to maturity securities at amortized cost1,085,751 1,099,569 1,117,709 1,129,421 1,146,583 
Total securities1,958,521 2,003,089 2,071,783 2,282,968 2,299,887 
Loans held for sale2,528 2,821 2,553 612 2,320 
Gross loans held for investment4,078,060 4,031,377 3,932,900 3,854,791 3,761,664 
Unearned income, net(12,091)(12,728)(13,535)(14,267)(15,375)
Loans held for investment, net of unearned income4,065,969 4,018,649 3,919,365 3,840,524 3,746,289 
Allowance for credit losses(51,600)(50,400)(49,800)(49,200)(52,100)
Total loans held for investment, net4,014,369 3,968,249 3,869,565 3,791,324 3,694,189 
Premises and equipment, net85,589 85,831 86,208 87,125 87,732 
Goodwill62,477 62,477 62,477 62,477 62,477 
Other intangible assets, net25,510 26,969 28,563 30,315 32,086 
Foreclosed assets, net— — — 103 103 
Other assets244,036 227,495 219,585 236,517 233,753 
Total assets$6,467,818 $6,521,489 $6,409,952 $6,577,876 $6,491,061 
LIABILITIES          
Noninterest bearing deposits$924,213 $897,923 $989,469 $1,053,450 $1,139,694 
Interest bearing deposits4,439,111 4,547,524 4,565,684 4,415,492 4,337,088 
Total deposits5,363,324 5,445,447 5,555,153 5,468,942 5,476,782 
Short-term borrowings373,956 362,054 143,981 391,873 304,536 
Long-term debt124,526 125,752 137,981 139,210 154,190 
Other liabilities100,601 86,895 72,187 85,058 83,324 
Total liabilities5,962,407 6,020,148 5,909,302 6,085,083 6,018,832 
SHAREHOLDERS' EQUITY          
Common stock16,581 16,581 16,581 16,581 16,581 
Additional paid-in capital301,889 301,424 300,966 302,085 301,418 
Retained earnings295,862 290,548 286,767 289,289 276,998 
Treasury stock(24,315)(24,508)(24,779)(26,115)(26,145)
Accumulated other comprehensive loss(84,606)(82,704)(78,885)(89,047)(96,623)
Total shareholders' equity505,411 501,341 500,650 492,793 472,229 
Total liabilities and shareholders' equity$6,467,818 $6,521,489 $6,409,952 $6,577,876 $6,491,061 




10

MIDWESTONE FINANCIAL GROUP, INC. AND SUBSIDIARIES
FIVE QUARTER AND YEAR TO DATE CONSOLIDATED STATEMENTS OF INCOME
 Three Months EndedNine Months Ended
September 30,June 30,March 31,December 31,September 30,September 30,September 30,
(In thousands, except per share data)202320232023202220222023 2022
Interest income
Loans, including fees$51,870 $49,726 $46,490 $43,769 $40,451 $148,086 $104,515 
Taxable investment securities9,526 9,734 10,444 10,685 10,635 29,704 28,334 
Tax-exempt investment securities1,802 1,822 2,127 2,303 2,326 5,751 7,076 
Other374 68 244 — 9 686 77 
Total interest income63,572 61,350 59,305 56,757 53,421 184,227 140,002 
Interest expense
Deposits23,128 20,117 15,319 9,127 5,035 58,564 11,118 
Short-term borrowings3,719 2,118 1,786 1,955 767 7,623 1,115 
Long-term debt2,150 2,153 2,124 2,111 1,886 6,427 4,975 
Total interest expense28,997 24,388 19,229 13,193 7,688 72,614 17,208 
Net interest income34,575 36,962 40,076 43,564 45,733 111,613 122,794 
Credit loss expense 1,551 1,597 933 572 638 4,081 3,920 
Net interest income after credit loss expense33,024 35,365 39,143 42,992 45,095 107,532 118,874 
Noninterest income (loss)
Investment services and trust activities3,004 3,119 2,933 2,666 2,876 9,056 8,557 
Service charges and fees2,146 2,047 2,008 2,028 2,075 6,201 5,449 
Card revenue1,817 1,847 1,748 1,784 1,898 5,412 5,426 
Loan revenue1,462 909 1,420 966 1,722 3,791 9,538 
Bank-owned life insurance626 616 602 637 579 1,844 1,668 
Investment securities (losses) gains, net79 (2)(13,170)(1)(163)(13,093)272 
Other727 210 413 2,860 3,601 1,350 5,669 
Total noninterest income (loss)9,861 8,746 (4,046)10,940 12,588 14,561 36,579 
Noninterest expense
Compensation and employee benefits18,558 20,386 19,607 20,438 20,046 58,551 57,665 
Occupancy expense of premises, net2,405 2,574 2,746 2,663 2,577 7,725 7,609 
Equipment2,123 2,435 2,171 2,327 2,358 6,729 6,366 
Legal and professional1,678 1,682 1,736 1,846 2,012 5,096 6,800 
Data processing1,504 1,521 1,363 1,375 1,731 4,388 4,199 
Marketing782 1,142 986 947 1,139 2,910 3,325 
Amortization of intangibles1,460 1,594 1,752 1,770 1,789 4,806 4,299 
FDIC insurance783 862 749 405 415 2,394 1,255 
Communications206 260 261 285 302 727 840 
Foreclosed assets, net2 (6)(28)48 42 (32)(66)
Other2,043 2,469 1,976 2,336 2,212 6,488 6,056 
Total noninterest expense31,544 34,919 33,319 34,440 34,623 99,782 98,348 
Income before income tax expense11,341 9,192 1,778 19,492 23,060 22,311 57,105 
Income tax expense2,203 1,598 381 3,490 4,743 4,182 12,272 
Net income $9,138 $7,594 $1,397 $16,002 $18,317 $18,129 $44,833 
Earnings per common share
Basic$0.58 $0.48 $0.09 $1.02 $1.17 $1.16 $2.86 
Diluted$0.58 $0.48 $0.09 $1.02 $1.17 $1.15 $2.86 
Weighted average basic common shares outstanding15,689 15,680 15,650 15,624 15,623 15,673 15,658 
Weighted average diluted common shares outstanding15,711 15,689 15,691 15,693 15,654 15,696 15,686 
Dividends paid per common share$0.2425 $0.2425 $0.2425 $0.2375 $0.2375 $0.7275 $0.7125 







11

MIDWESTONE FINANCIAL GROUP, INC. AND SUBSIDIARIES
FINANCIAL STATISTICS
As of or for the Three Months EndedAs of or for the Nine Months Ended
September 30,June 30,September 30,September 30,September 30,
(Dollars in thousands, except per share amounts)20232023202220232022
Earnings:
Net interest income$34,575 $36,962 $45,733 $111,613 $122,794 
Noninterest income9,861 8,746 12,588 14,561 36,579 
     Total revenue, net of interest expense44,436 45,708 58,321 126,174 159,373 
Credit loss expense1,551 1,597 638 4,081 3,920 
Noninterest expense31,544 34,919 34,623 99,782 98,348 
     Income before income tax expense 11,341 9,192 23,060 22,311 57,105 
Income tax expense 2,203 1,598 4,743 4,182 12,272 
     Net income $9,138 $7,594 $18,317 $18,129 $44,833 
Per Share Data:
Diluted earnings $0.58 $0.48 $1.17 $1.15 $2.86 
Book value32.21 31.96 30.23 32.21 30.23 
Tangible book value(1)
26.60 26.26 24.17 26.60 24.17 
Ending Balance Sheet:
Total assets$6,467,818 $6,521,489 $6,491,061 $6,467,818 $6,491,061 
Loans held for investment, net of unearned income4,065,969 4,018,649 3,746,289 4,065,969 3,746,289 
Total securities1,958,521 2,003,089 2,299,887 1,958,521 2,299,887 
Total deposits5,363,324 5,445,447 5,476,782 5,363,324 5,476,782 
Short-term borrowings373,956 362,054 304,536 373,956 304,536 
Long-term debt124,526 125,752 154,190 124,526 154,190 
Total shareholders' equity505,411 501,341 472,229 505,411 472,229 
Average Balance Sheet:
Average total assets$6,452,815 $6,465,810 $6,457,647 $6,480,636 $6,152,390 
Average total loans4,019,852 4,003,717 3,673,379 3,964,119 3,416,600 
Average total deposits5,379,871 5,454,517 5,507,482 5,459,749 5,246,183 
Financial Ratios:
Return on average assets0.56 %0.47 %1.13 %0.37 %0.97 %
Return on average equity7.14 %6.03 %14.56 %4.81 %11.81 %
Return on average tangible equity(1)
9.68 %8.50 %19.32 %7.03 %15.28 %
Efficiency ratio(1)
66.06 %71.13 %53.67 %66.40 %56.70 %
Net interest margin, tax equivalent(1)
2.35 %2.52 %3.08 %2.54 %2.92 %
Loans to deposits ratio75.81 %73.80 %68.40 %75.81 %68.40 %
Common equity ratio7.81 %7.69 %7.28 %7.81 %7.28 %
Tangible common equity ratio(1)
6.54 %6.40 %5.90 %6.54 %5.90 %
Credit Risk Profile:
Total nonperforming loans$28,987 $14,448 $25,963 $28,987 $25,963 
Nonperforming loans ratio0.71 %0.36 %0.69 %0.71 %0.69 %
Total nonperforming assets$28,987 $14,448 $26,066 $28,987 $26,066 
Nonperforming assets ratio0.45 %0.22 %0.40 %0.45 %0.40 %
Net charge-offs$451 $897 $588 $1,681 $3,091 
Net charge-off ratio0.04 %0.09 %0.06 %0.06 %0.12 %
Allowance for credit losses$51,600 $50,400 $52,100 $51,600 $52,100 
Allowance for credit losses ratio1.27 %1.25 %1.39 %1.27 %1.39 %
Allowance for credit losses to nonaccrual ratio178.63 %355.03 %208.18 %178.63 %208.18 %
(1) Non-GAAP measure. See the Non-GAAP Measures section for a reconciliation to the most directly comparable GAAP measure.




12

MIDWESTONE FINANCIAL GROUP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEET AND YIELD ANALYSIS
 Three Months Ended
 September 30, 2023June 30, 2023September 30, 2022
(Dollars in thousands)Average
Balance		Interest
Income/
Expense		 Average
Yield/
Cost		 
Average
Balance
Interest
Income/
Expense
 Average
Yield/
Cost		Average BalanceInterest
Income/
Expense		 Average
Yield/
Cost
ASSETS   
Loans, including fees (1)(2)(3)
$4,019,852 $52,605  5.19 % $4,003,717 $50,439 5.05 %$3,673,379 $41,124  4.44 %
Taxable investment securities1,637,259 9,526  2.31 % 1,698,003 9,734 2.30 %1,939,517 10,635  2.18 %
Tax-exempt investment securities (2)(4)
341,330 2,234  2.60 % 345,934 2,253 2.61 %431,898 2,922  2.68 %
Total securities held for investment(2)
1,978,589 11,760 2.36 %2,043,937 11,987 2.35 %2,371,415 13,557 2.27 %
Other34,195 374  4.34 % 9,078 68 3.00 %6,070 9  0.59 %
Total interest earning assets(2)
$6,032,636 $64,739  4.26 % $6,056,732 $62,494 4.14 %$6,050,864 $54,690  3.59 %
Other assets420,179   409,078 406,783  
Total assets$6,452,815   $6,465,810 $6,457,647  
LIABILITIES AND SHAREHOLDERS’ EQUITY   
Interest checking deposits$1,354,597 $2,179 0.64 %$1,420,741 $1,971 0.56 %$1,725,000 $1,463 0.34 %
Money market deposits1,112,149 7,402 2.64 %999,436 5,299 2.13 %1,016,005 1,268 0.50 %
Savings deposits603,628 749  0.49 % 603,905 288 0.19 %710,836 297  0.17 %
Time deposits1,403,504 12,798  3.62 % 1,490,332 12,559 3.38 %913,307 2,007  0.87 %
Total interest bearing deposits4,473,878 23,128  2.05 % 4,514,414 20,117 1.79 %4,365,148 5,035  0.46 %
Securities sold under agreements to repurchase66,020 85 0.51 %159,583 423 1.06 %144,628 228 0.63 %
Other short-term borrowings277,713 3,634 5.19 %132,495 1,695 5.13 %83,086 539 2.57 %
Short-term borrowings343,733 3,719  4.29 % 292,078 2,118 2.91 %227,714 767  1.34 %
Long-term debt125,737 2,150  6.78 % 135,329 2,153 6.38 %159,125 1,886  4.70 %
Total borrowed funds469,470 5,869 4.96 %427,407 4,271 4.01 %386,839 2,653 2.72 %
Total interest bearing liabilities$4,943,348 $28,997  2.33 % $4,941,821 $24,388 1.98 %$4,751,987 $7,688  0.64 %
Noninterest bearing deposits905,993   940,103 1,142,334  
Other liabilities95,408   78,898 64,063  
Shareholders’ equity508,066 504,988 499,263 
Total liabilities and shareholders’ equity$6,452,815   $6,465,810 $6,457,647  
Net interest income(2)
$35,742 $38,106 $47,002 
Net interest spread(2)
 1.93 %  2.16 % 2.95 %
Net interest margin(2)
2.35 %2.52 %3.08 %
Total deposits(5)
$5,379,871 $23,128 1.71 %$5,454,517 $20,117 1.48 %$5,507,482 $5,035 0.36 %
Cost of funds(6)
1.97 %1.66 %0.52 %
(1) Average balance includes nonaccrual loans.
(2) Tax equivalent. The federal statutory tax rate utilized was 21%.
(3) Interest income includes net loan fees, loan purchase discount accretion and tax equivalent adjustments. Net loan fees were $141 thousand, $79 thousand, and $35 thousand for the three months ended September 30, 2023, June 30, 2023, and September 30, 2022, respectively. Loan purchase discount accretion was $791 thousand, $1.0 million, and $2.0 million for the three months ended September 30, 2023, June 30, 2023, and September 30, 2022, respectively. Tax equivalent adjustments were $735 thousand, $713 thousand, and $673 thousand for the three months ended September 30, 2023, June 30, 2023, and September 30, 2022, respectively. The federal statutory tax rate utilized was 21%.
(4) Interest income includes tax equivalent adjustments of $432 thousand, $431 thousand, and $596 thousand for the three months ended September 30, 2023, June 30, 2023, and September 30, 2022, respectively. The federal statutory tax rate utilized was 21%.
(5) Total deposits is the sum of total interest-bearing deposits and noninterest bearing deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
(6) Cost of funds is calculated as annualized total interest expense divided by the sum of average total deposits and borrowed funds.









13

MIDWESTONE FINANCIAL GROUP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEET AND YIELD ANALYSIS
 Nine Months Ended
 September 30, 2023September 30, 2022
(Dollars in thousands)
Average
Balance
Interest
Income/
Expense
 
Average
Yield/
Cost
 
Average
Balance
Interest
Income/
Expense
 
Average
Yield/
Cost
ASSETS  
Loans, including fees (1)(2)(3)
$3,964,119 $150,250 5.07 %$3,416,600 $106,297 4.16 %
Taxable investment securities1,714,912 29,704 2.32 %1,899,907 28,334 1.99 %
Tax-exempt investment securities (2)(4)
361,254 7,136 2.64 %440,542 8,895 2.70 %
Total securities held for investment(2)
2,076,166 36,840 2.37 %2,340,449 37,229 2.13 %
Other22,741 686  4.03 % 25,972 77 0.40 %
Total interest earning assets(2)
$6,063,026 $187,776  4.14 % $5,783,021 $143,603 3.32 %
Other assets417,610   369,369 
Total assets$6,480,636   $6,152,390 
LIABILITIES AND SHAREHOLDERS’ EQUITY
  
Interest checking deposits$1,429,804 $5,999 0.56 %$1,642,849 $3,713 0.30 %
Money market deposits1,014,708 15,970 2.10 %991,338 2,338 0.32 %
Savings deposits620,011 1,309 0.28 %671,917 863 0.17 %
Time deposits1,437,122 35,286 3.28 %877,923 4,204 0.64 %
Total interest bearing deposits4,501,645 58,564  1.74 % 4,184,027 11,118 0.36 %
Securities sold under agreements to repurchase123,512 958 1.04 %152,663 435 0.38 %
Other short-term borrowings174,448 6,665 5.11 %42,952 680 2.12 %
Short-term borrowings297,960 7,623  3.42 % 195,615 1,115 0.76 %
Long-term debt133,375 6,427  6.44 % 148,053 4,975 4.49 %
Total borrowed funds431,335 14,050 4.36 %343,668 6,090 2.37 %
Total interest bearing liabilities$4,932,980 $72,614  1.97 % $4,527,695 $17,208 0.51 %
Noninterest bearing deposits958,104   1,062,156 
Other liabilities85,650   54,775 
Shareholders’ equity503,902 507,764 
Total liabilities and shareholders’ equity$6,480,636   $6,152,390 
Net interest income(2)
$115,162 $126,395 
Net interest spread(2)
 2.17 %  2.81 %
Net interest margin(2)
2.54 %2.92 %
Total deposits(5)
$5,459,749 $58,564 1.43 %$5,246,183 $11,118 0.28 %
Cost of funds(6)
1.65 %0.41 %
(1) Average balance includes nonaccrual loans.
(2) Tax equivalent. The federal statutory tax rate utilized was 21%.
(3) Interest income includes net loan fees, loan purchase discount accretion and tax equivalent adjustments. Net loan fees were $315 thousand and $678 thousand for the nine months ended September 30, 2023 and September 30, 2022, respectively. Loan purchase discount accretion was $3.0 million and $3.3 million for the nine months ended September 30, 2023 and September 30, 2022, respectively. Tax equivalent adjustments were $2.2 million and $1.8 million for the nine months ended September 30, 2023 and September 30, 2022, respectively. The federal statutory tax rate utilized was 21%.
(4) Interest income includes tax equivalent adjustments of $1.4 million and $1.8 million for the nine months ended September 30, 2023 and September 30, 2022, respectively. The federal statutory tax rate utilized was 21%.
(5) Total deposits is the sum of total interest-bearing deposits and noninterest bearing deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
(6) Cost of funds is calculated as annualized total interest expense divided by the sum of average total deposits and borrowed funds.


14

Non-GAAP Measures
This earnings release contains non-GAAP measures for tangible common equity, tangible book value per share, tangible common equity ratio, return on average tangible equity, net interest margin (tax equivalent), core net interest margin, loan yield (tax equivalent), core yield on loans, efficiency ratio, and adjusted earnings. Management believes these measures provide investors with useful information regarding the Company’s profitability, financial condition and capital adequacy, consistent with how management evaluates the Company’s financial performance. The following tables provide a reconciliation of each non-GAAP measure to the most comparable GAAP measure.
Tangible Common Equity/Tangible Book Value
per Share/Tangible Common Equity RatioSeptember 30,June 30,March 31,December 31,September 30,
(Dollars in thousands, except per share data)20232023202320222022
Total shareholders’ equity$505,411 $501,341 $500,650 $492,793 $472,229 
Intangible assets, net
(87,987)(89,446)(91,040)(92,792)(94,563)
Tangible common equity$417,424 $411,895 $409,610 $400,001 $377,666 
Total assets$6,467,818 $6,521,489 $6,409,952 $6,577,876 $6,491,061 
Intangible assets, net
(87,987)(89,446)(91,040)(92,792)(94,563)
Tangible assets$6,379,831 $6,432,043 $6,318,912 $6,485,084 $6,396,498 
Book value per share$32.21 $31.96 $31.94 $31.54 $30.23 
Tangible book value per share(1)
$26.60 $26.26 $26.13 $25.60 $24.17 
Shares outstanding15,691,738 15,685,123 15,675,325 15,623,977 15,622,825 
Common equity ratio7.81 %7.69 %7.81 %7.49 %7.28 %
Tangible common equity ratio(2)
6.54 %6.40 %6.48 %6.17 %5.90 %
(1) Tangible common equity divided by shares outstanding.
(2) Tangible common equity divided by tangible assets.
Three Months EndedNine Months Ended
Return on Average Tangible EquitySeptember 30,June 30,September 30,September 30,September 30,
(Dollars in thousands)20232023202220232022
Net income$9,138 $7,594 $18,317 $18,129 $44,833 
Intangible amortization, net of tax(1)
1,095 1,196 1,342 3,605 3,224 
Tangible net income $10,233 $8,790 $19,659 $21,734 $48,057 
Average shareholders’ equity$508,066 $504,988 $499,263 $503,902 $507,764 
Average intangible assets, net
(88,699)(90,258)(95,499)(90,308)(87,318)
Average tangible equity$419,367 $414,730 $403,764 $413,594 $420,446 
Return on average equity
7.14 %6.03 %14.56 %4.81 %11.81 %
Return on average tangible equity(2)
9.68 %8.50 %19.32 %7.03 %15.28 %
(1) The combined income tax rate utilized was 25%.
(2) Annualized tangible net income divided by average tangible equity.


15

Net Interest Margin, Tax Equivalent/
Core Net Interest Margin		Three Months EndedNine Months Ended
September 30,June 30,September 30,September 30,September 30,
(Dollars in thousands)20232023202220232022
Net interest income$34,575 $36,962 $45,733 $111,613 $122,794 
Tax equivalent adjustments:
Loans(1)
735 713 673 2,164 1,782 
Securities(1)
432 431 596 1,385 1,819 
Net interest income, tax equivalent$35,742 $38,106 $47,002 $115,162 $126,395 
Loan purchase discount accretion(791)(984)(2,015)(2,964)(3,275)
Core net interest income$34,951 $37,122 $44,987 $112,198 $123,120 
Net interest margin2.27 %2.45 %3.00 %2.46 %2.84 %
Net interest margin, tax equivalent(2)
2.35 %2.52 %3.08 %2.54 %2.92 %
Core net interest margin(3)
2.30 %2.46 %2.95 %2.47 %2.85 %
Average interest earning assets$6,032,636 $6,056,732 $6,050,864 $6,063,026 $5,783,021 
(1) The federal statutory tax rate utilized was 21%.
(2) Annualized tax equivalent net interest income divided by average interest earning assets.
(3) Annualized core net interest income divided by average interest earning assets.
Three Months EndedNine Months Ended
Loan Yield, Tax Equivalent / Core Yield on LoansSeptember 30,June 30,September 30,September 30,September 30,
(Dollars in thousands)20232023202220232022
Loan interest income, including fees$51,870 $49,726 $40,451 $148,086 $104,515 
Tax equivalent adjustment(1)
735 713 673 2,164 1,782 
Tax equivalent loan interest income$52,605 $50,439 $41,124 $150,250 $106,297 
Loan purchase discount accretion(791)(984)(2,015)(2,964)(3,275)
Core loan interest income$51,814 $49,455 $39,109 $147,286 $103,022 
Yield on loans5.12 %4.98 %4.37 %4.99 %4.09 %
Yield on loans, tax equivalent(2)
5.19 %5.05 %4.44 %5.07 %4.16 %
Core yield on loans(3)
5.11 %4.95 %4.22 %4.97 %4.03 %
Average loans$4,019,852 $4,003,717 $3,673,379 $3,964,119 $3,416,600 
(1) The federal statutory tax rate utilized was 21%.
(2) Annualized tax equivalent loan interest income divided by average loans.
(3) Annualized core loan interest income divided by average loans.
Three Months EndedNine Months Ended
Efficiency RatioSeptember 30,June 30,September 30,September 30,September 30,
(Dollars in thousands)20232023202220232022
Total noninterest expense$31,544 $34,919 $34,623 $99,782 $98,348 
Amortization of intangibles(1,460)(1,594)(1,789)(4,806)(4,299)
Merger-related expenses(11)— (763)(147)(1,792)
Noninterest expense used for efficiency ratio$30,073 $33,325 $32,071 $94,829 $92,257 
Net interest income, tax equivalent(1)
$35,742 $38,106 $47,002 $115,162 $126,395 
Plus: Noninterest income9,861 8,746 12,588 14,561 36,579 
Less: Investment securities (losses) gains, net79 (2)(163)(13,093)272 
Net revenues used for efficiency ratio$45,524 $46,854 $59,753 $142,816 $162,702 
Efficiency ratio (2)
66.06 %71.13 %53.67 %66.40 %56.70 %
(1) The federal statutory tax rate utilized was 21%.
(2) Noninterest expense adjusted for amortization of intangibles and merger-related expenses divided by the sum of tax equivalent net interest income, noninterest income and net investment securities gains.









16

Three Months EndedNine Months Ended
Adjusted Earnings September 30,June 30,September 30,September 30,September 30,
(Dollars in thousands, except per share data)20232023202220232022
Net income $9,138 $7,594 $18,317 $18,129 $44,833 
After tax loss on sale of debt securities(1)
— — 125 9,837 — 
Adjusted earnings$9,138 $7,594 $18,442 $27,966 $44,833 
Weighted average diluted common shares outstanding15,711 15,689 15,654 15,696 15,686 
Earnings per common share
Earnings per common share - diluted$0.58 $0.48 $1.17 $1.15 $2.86 
Adjusted earnings per common share - diluted (2)
$0.58 $0.48 $1.18 $1.78 $2.86 
(1) The income tax rate utilized was 25.3%.
(2) Adjusted earnings divided by weighted average diluted common shares outstanding.


Contact:
Charles N. ReevesBarry S. Ray
Chief Executive OfficerChief Financial Officer
319.356.5800319.356.5800


17
Third Quarter 2023 Earnings Conference Call October 27, 2023

 
2 Forward Looking Statements & Non-GAAP Measures This presentation contains certain “forward-looking statements” within the meaning of such term in the Private Securities Litigation Reform Act of 1995. We and our representatives may, from time to time, make written or oral statements that are “forward-looking” and provide information other than historical information. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These factors include, among other things, the factors listed below. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “should,” “could,” “would,” “plans,” “goals,” “intend,” “project,” “estimate,” “forecast,” “may” or similar expressions. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, these statements. Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Additionally, we undertake no obligation to update any statement in light of new information or future events, except as required under federal securities law. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors that could have an impact on our ability to achieve operating results, growth plan goals and future prospects include, but are not limited to, the following: (1) the risks of mergers or branch sales (including with Iowa First Bancshares Corp. and Denver Bankshares, Inc.), including, without limitation, the related time and costs of implementing such transactions, integrating operations as part of these transactions and possible failures to achieve expected gains, revenue growth and/or expense savings from such transactions; (2) credit quality deterioration, pronounced and sustained reduction in real estate market values, or other uncertainties, including the impact of inflationary pressures on economic conditions and our business, resulting in an increase in the allowance for credit losses, an increase in the credit loss expense, and a reduction in net earnings; (3) the effects of recent and potential additional increases in inflation and interest rates, including on our net income and the value of our securities portfolio; (4) changes in the economic environment, competition, or other factors that may affect our ability to acquire loans or influence the anticipated growth rate of loans and deposits and the quality of the loan portfolio and loan and deposit pricing; (5) fluctuations in the value of our investment securities; (6) governmental monetary and fiscal policies; (7) changes in and uncertainty related to benchmark interest rates used to price loans and deposits; (8) legislative and regulatory changes, including changes in banking, securities, trade, and tax laws and regulations and their application by our regulators, including the new 1.0% excise tax on stock buybacks by publicly traded companies and any changes in response to the recent failures of other banks; (9) the ability to attract and retain key executives and employees experienced in banking and financial services; (10) the sufficiency of the allowance for credit losses to absorb the amount of actual losses inherent in our existing loan portfolio; (11) our ability to adapt successfully to technological changes to compete effectively in the marketplace; (12) credit risks and risks from concentrations (by geographic area and by industry) within our loan portfolio; (13) the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds, financial technology companies, and other financial institutions operating in our markets or elsewhere or providing similar services; (14) the failure of assumptions underlying the establishment of allowances for credit losses and estimation of values of collateral and various financial assets and liabilities; (15) volatility of rate-sensitive deposits; (16) operational risks, including data processing system failures or fraud; (17) asset/liability matching risks and liquidity risks; (18) the costs, effects and outcomes of existing or future litigation; (19) changes in general economic, political, or industry conditions, nationally, internationally or in the communities in which we conduct business, including the risk of a recession; (20) changes in accounting policies and practices, as may be adopted by state and federal regulatory agencies and the Financial Accounting Standards Board; (21) war or terrorist activities, including the Israeli-Palestinian conflict and the Russian Invasion of Ukraine, widespread disease or pandemic, or other adverse external events, which may cause deterioration in the economy or cause instability in credit markets; (22) the occurrence of fraudulent activity, breaches, or failures of our information security controls or cyber-security related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools; (23) the imposition of tariffs or other domestic or international governmental policies impacting the value of the agricultural or other products of our borrowers; (24) effects of the ongoing COVID-19 pandemic, including its effects on the economic environment, our customers, employees and supply chain; (25) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits; (26) the effects of recent developments and events in the financial services industry, including the large-scale deposit withdrawals over a short period of time at other banks that resulted in failure of those institutions; and (27) other risk factors detailed from time to time in Securities and Exchange Commission filings made by the Company. Non-GAAP Measures This presentation contains non-GAAP measures for tangible common equity, tangible book value per share, tangible common equity ratio, loan yield, tax equivalent, efficiency ratio, pre-tax, pre-provision earnings, return on average tangible equity, and net interest margin, tax equivalent. Management believes these measures provide investors with useful information regarding the Company’s profitability, financial condition and capital adequacy, consistent with how management evaluates the Company’s financial performance. A reconciliation of each non-GAAP measure to the most comparable GAAP measure is included, as necessary, in the Non-GAAP Financial Measures section.

 
3 Financial Highlights Total assets $ 6,467.8 (0.82) % (0.36) % Total loans held for investment, net 4,066.0 1.18 8.53 Total deposits 5,363.3 (1.51) (2.07) Balance Sheet Equity to assets ratio 7.81 % 12 bps 53 bps Tangible common equity ratio (non-GAAP) 6.54 14 64 CET1 risk-based capital ratio 9.52 16 34 Total risk-based capital ratio 12.45 19 35 Loans to deposits ratio 75.81 % 201 741 Capital and Liquidity Net interest margin, tax equivalent (non-GAAP) 2.35 % (17) bps (73) bps Cost of total deposits 1.71 23 135 Return on average assets 0.56 9 (57) Return on average tangible equity (non-GAAP) 9.68 118 (964) Efficiency ratio (non-GAAP) 66.06 (507) 1,239 Profitability Nonperforming loans ratio 0.71 % 35 bps 2 bps Nonperforming assets ratio 0.45 23 5 Net charge-off ratio 0.04 (5) (2) Allowance for credit losses ratio 1.27 2 (12) Credit Risk Profile 3Q23 Financial Highlights – See the section "Non-GAAP Financial measures." – Note: Financial metrics as of or for the quarter ended September 30, 2023. Change vs. Dollars in millions 3Q23 2Q23 3Q22

 
4 MOFG's Five Strategic Pillars to Deliver Improved Results Exceptional Customer and Employee Engagement 1 Enhance MOFG's award winning culture with a renewed focus on performance and financial results 2 Protect and enhance MOFG's dominant community bank franchise through product expansion 3 Continue to hire exceptional relationship bankers and wealth management professionals 4 Develop specialty commercial banking verticals by attracting experienced professionals 5 Identify and execute on opportunities for efficiency gains and cost reduction Strong Core Local Banking Model Sophisticated Commercial Banking and Wealth Management Specialty Business Lines Improving our Efficiency and Operations

 
5 Strategic Plan Updates Managed expenses closely, resulting in an improved efficiency ratio as compared to 2Q23. Improved our Treasury Management business by naming a new leader, combining our sales and service organizations, and recruiting two experienced treasury management salespeople in our metro markets. Announced the sale of MOFG's Florida operations, with the proceeds to be reinvested in the acquisition of Denver Bankshares, Inc. The combined transaction is expected to deliver double digit accretion. Recruited a seasoned banker to lead our Twin Cities middle market C&I lending team as we drive further scale and growth in the Twin Cities.

 
6 Deposits $ B ill io ns $5.45 $5.40 $5.36 $5.36 $5.08 $5.11 $5.10 $5.14 1.28% 0.52% (0.20)% 0.93% Deposits, Ex Brokered Brokered Deposits MoM Change in Deposits, Ex Brokered 06/30/23 07/31/23 08/31/23 09/30/23

 
7 Commercial Loan Portfolio Commercial and Industrial, 32% Agricultural, 3% Farmland, 6% Construction & Development, 10% Multifamily, 10% CRE-Other, 39% Commercial Loan Portfolio Mix - September 30, 2023 Commercial Loan Portfolio of $3.4 billion Commercial Loan Growth in Targeted Regions $ in Millions $856.0 $937.7 $958.3 $1,052.5 Iowa Metro Twin Cities 09/30/22 12/31/22 03/31/23 06/30/23 09/30/23 $347.8 $422.8 Denver 09/30/22 12/31/22 03/31/23 06/30/23 09/30/23

 
8 Credit $ m illi on s Nonperforming Assets $26.07 $15.92 $14.44 $14.45 $28.99 9/30/2022 12/31/2022 3/31/2023 6/30/2023 9/30/2023 $ m illi on s Net Charge-Offs $0.6 $3.5 $0.3 $0.9 $0.5 3Q22 4Q22 1Q23 2Q23 3Q23 Credit Quality Measures $ millions 3Q22 4Q22 1Q23 2Q23 3Q23 Nonperforming assets ratio 0.40 % 0.24 % 0.23 % 0.22 % 0.45 % Net charge-off ratio 0.06 % 0.36 % 0.03 % 0.09 % 0.04 % Loans greater than 30 days past due and accruing $6.0 $6.7 $4.9 $6.2 $6.4 Allowance for credit losses ratio 1.39 % 1.28 % 1.27 % 1.25 % 1.27 % (1) (1) The fourth quarter of 2022 includes the identification and resolution of problem credits. (2) The third quarter of 2023 nonperforming assets increased primarily due to a single commercial relationship. (2)

 
9 Commercial Real Estate 3.7% 96.3% NOO CRE Office All Other Loans Non-Owner Occupied CRE Office September 30, 2023 $ millions 3Q23 Construction & Development $ 333.9 Farmland 183.5 Multifamily 338.2 CRE Other: NOO CRE Office 151.8 OO CRE Office 84.7 Industrial and Warehouse 373.3 Retail 270.8 Hotel 131.1 Other 317.4 Total Commercial Real Estate $ 2,184.7 Commercial Real Estate Portfolio(2) September 30, 2023 Portfolio Highlights September 30, 2023 $ millions Average NOO CRE Office outstanding principal $ 1.4 Commercial Real Estate Concentration: % of Total Capital Regulatory Threshold Construction, land development and other land 50 % 100 % Total CRE loans(1) 218 % 300 % (1)Total CRE loans includes construction, land development and other land, in addition to multifamily and NOO CRE. (2) Represents the outstanding principal balance of the CRE portfolio.

 
10 Focusing on Growth in Wealth Management $2.43 $2.44 $2.74 $2.73 $2.84 2019 2020 2021 2022 3Q23 $— $1.00 $2.00 $3.00 Investment Services and Trust Activity Revenue • Asset amounts presented are in billions of dollars • Revenue amounts presented are in millions of dollars $8.0 $9.6 $11.7 $11.2 $3.1 $3.0 $2.8 $3.2 $4.2 $3.9 $1.1 $0.9 $5.2 $6.4 $7.5 $7.3 $2.1 $2.1 Investment Services Trust 2019 2020 2021 2022 2Q23 3Q23 $— $5.0 $10.0 $15.0 Wealth Management Assets Under Administration • Building momentum in the Twin Cities with a talented wealth management team focused on leveraging strong relationships with our Retail and Commercial colleagues • Strengthened wealth management capabilities with the addition of an experienced wealth management team in Eastern Iowa that collectively has more than 120 years of experience • Strategic opening of a new office in Cedar Rapids, Iowa, a targeted metropolitan market • Invested in financial technology that will improve the customer experience and streamline internal processes

 
11 Financial Performance

 
12 Balance Sheet 3Q23 vs. 2Q23 3Q23 vs. 3Q22 Period end balances, $ millions 3Q23 $ Change % Change $ Change % Change Loans $4,066.0 $47.4 1 % $319.7 9 % Investment securities $1,958.5 -$44.6 (2) % -$341.4 (15) % Interest earning deposits in banks $3.8 -$64.8 (94) % $2.8 280 % Deposits $5,363.3 -$82.1 (2) % -$113.5 (2) % Borrowed funds $498.5 $10.7 2 % $39.8 9 % Shareholders' equity $505.4 $4.1 1 % $33.2 7 % 3Q23 3Q23 Period end 3Q23 2Q23 vs. 2Q23 3Q22 vs. 3Q22 Tangible book value per share (non-GAAP) $26.60 $26.26 1 % $24.17 10 % Common equity Tier 1 capital ratio 9.5 % 9.4 % 10 bps 9.2 % 30 bps AOCI $(84.6) $(82.7) (2) % $(96.6) 12 % Return on average tangible equity (non-GAAP) 9.68 % 8.50 % 118 bps 19.32 % -964 bps – See the section "Non-GAAP Financial Measures."

 
13 Balance Sheet- Average Loans and Deposits – IB Deposits represent interest bearing deposits and NIB Deposits represent noninterest bearing deposits. – Loan yield, tax equivalent is a non-GAAP measure. See the Section "Non-GAAP Financial Measures." Av er ag e ba la nc es , $ bi lli on s Average Deposits $5.51 $5.45 $5.38 $4.37 $4.51 $4.47 $1.14 $0.94 $0.91 0.46% 1.79% 2.05% IB Deposits NIB Deposits Cost of IB Deposits 3Q22 2Q23 3Q23 Av er ag e ba la nc es , $ bi lli on s Average Loans $3.67 $4.00 $4.02 4.44% 5.05% 5.19% Loans Loan yield, tax equivalent 3Q22 2Q23 3Q23

 
14 Balance Sheet - Debt Securities Portfolio Municipals, 19% MBS, 1% CLO, 6% CMO, 15% Corporate, 60% 2.27% 2.35% 2.40% 2.35% 2.36% Total Securities Held for Investment (FTE) 3Q22 4Q22 1Q23 2Q23 3Q23 Investment Securities Yield Available for Sale Debt Securities Portfolio Mix September 30, 2023(1) Municipals, 49% MBS, 7% CMO, 44% Held to Maturity Debt Securities Portfolio Mix September 30, 2023(1) • Investment Portfolio Mix: ◦ AFS Securities - $0.9 billion ◦ HTM Securities - $1.1 billion • Investment Portfolio Duration (Years): ◦ AFS Securities - 3.1 ◦ HTM Securities - 6.6 ◦ Total Securities - 5.0 • Allowance for credit losses for investments is $0 Portfolio Composition (1) Percentages may not total 100% due to rounding.

 
15 Income Statement % Change 3Q23 vs. $ millions 3Q23 2Q23 3Q22 2Q23 3Q22 Net interest income $34.6 $37.0 $45.7 (6) % (24) % Noninterest income 9.9 8.7 12.6 14 % (21) % Total revenue 44.5 45.7 58.3 (3) % (24) % Noninterest expense 31.5 34.9 34.6 (10) % (9) % Pre-tax, pre-provision earnings (non-GAAP) $13.0 $10.8 $23.7 20 % (45) % Credit loss expense $1.6 $1.6 $0.6 — % 167 % Income tax expense $2.2 $1.6 $4.7 38 % (53) % Net income $9.1 $7.6 $18.3 20 % (50) % 3Q23 3Q23 3Q23 2Q23 3Q22 vs. 2Q23 vs. 3Q22 Net interest margin (non-GAAP) 2.35 % 2.52 % 3.08 % -17 bps -73 bps Efficiency ratio (non-GAAP) 66.06 % 71.13 % 53.67 % 507 bps -1,239 bps Diluted EPS $0.58 $0.48 $1.17 21 % (50) % – See the section "Non-GAAP Financial Measures."

 
16 Non-GAAP Financial Measures

 
17 Non-GAAP Financial Measures Tangible Common Equity / Tangible Book Value per Share / Tangible Common Equity Ratio September 30, 2022 June 30, 2023 September 30, 2023 dollars in thousands Total shareholders' equity $ 472,229 $ 501,341 $ 505,411 Intangible assets, net (94,563) (89,446) (87,987) Tangible common equity $ 377,666 $ 411,895 $ 417,424 Total assets $ 6,491,061 $ 6,521,489 $ 6,467,818 Intangible assets, net (94,563) (89,446) (87,987) Tangible assets $ 6,396,498 $ 6,432,043 $ 6,379,831 Book value per share $ 30.23 $ 31.96 $ 32.21 Tangible book value per share (1) $ 24.17 $ 26.26 $ 26.60 Shares outstanding 15,622,825 15,685,123 15,691,738 Tangible common equity ratio (2) 5.90 % 6.40 % 6.54 % (1) Tangible common equity divided by shares outstanding. (2) Tangible common equity divided by tangible assets. Loan Yield, Tax Equivalent For the Three Months Ended September 30, 2022 June 30, 2023 September 30, 2023 dollars in thousands Loan interest income, including fees $ 40,451 $ 49,726 $ 51,870 Tax equivalent adjustment (1) 673 713 735 Tax equivalent loan interest income $ 41,124 $ 50,439 $ 52,605 Yield on loans, tax equivalent (2) 4.44 % 5.05 % 5.19 % Average Loans $ 3,673,379 $ 4,003,717 $ 4,019,852 (1) The federal statutory tax rate utilized was 21%. (2) Annualized tax equivalent loan interest income divided by average loans.

 
18 Non-GAAP Financial Measures Efficiency Ratio For the Three Months Ended September 30, 2022 June 30, 2023 September 30, 2023 dollars in thousands Total noninterest expense $ 34,623 $ 34,919 $ 31,544 Amortization of intangibles (1,789) (1,594) (1,460) Merger-related expenses (763) — (11) Noninterest expense used for efficiency ratio $ 32,071 $ 33,325 $ 30,073 Net interest income, tax equivalent (1) $ 47,002 $ 38,106 $ 35,742 Noninterest income 12,588 8,746 9,861 Investment securities (losses) gains, net (163) (2) 79 Net revenues used for efficiency ratio $ 59,753 $ 46,854 $ 45,524 Efficiency ratio 53.67 % 71.13 % 66.06 % (1) The federal statutory tax rate utilized was 21%. (2) Noninterest expense adjusted for amortization of intangibles and merger-related expenses divided by the sum of tax equivalent net interest income, noninterest income and net investment securities (losses) gains. Pre-tax / Pre-provision Net Revenue For the Three Months Ended September 30, 2022 June 30, 2023 September 30, 2023 dollars in thousands Net interest income $ 45,733 $ 36,962 $ 34,575 Noninterest income 12,588 8,746 9,861 Noninterest expense (34,623) (34,919) (31,544) Pre-tax / Pre-provision Net Revenue $ 23,698 $ 10,789 $ 12,892

 
19 Non-GAAP Financial Measures Return on Average Tangible Equity For the Three Months Ended September 30, 2022 June 30, 2023 September 30, 2023 dollars in thousands Net income $ 18,317 $ 7,594 $ 9,138 Intangible amortization, net of tax (1) 1,342 1,196 1,095 Tangible net income $ 19,659 $ 8,790 $ 10,233 Average shareholders' equity $ 499,263 $ 504,988 $ 508,066 Average intangible assets, net (95,499) (90,258) (88,699) Average tangible equity $ 403,764 $ 414,730 $ 419,367 Return on average equity 14.56 % 6.03 % 7.14 % Return on average tangible equity (2) 19.32 % 8.50 % 9.68 % (1) The combined income tax rate utilized was 25%. (2) Annualized tangible net income divided by average tangible equity. Net Interest Margin, Tax Equivalent For the Three Months Ended September 30, 2022 June 30, 2023 September 30, 2023 dollars in thousands Net interest Income $ 45,733 $ 36,962 $ 34,575 Tax equivalent adjustments: Loans (1) 673 713 735 Securities (1) 596 431 432 Net Interest Income, tax equivalent $ 47,002 $ 38,106 $ 35,742 Average interest earning assets $ 6,050,864 $ 6,056,732 $ 6,032,636 Net interest margin, tax equivalent (2) 3.08 % 2.52 % 2.35 % (1) The federal statutory tax rate utilized was 21%. (2) Annualized tax equivalent net interest income divided by average interest earning assets.

 
v3.23.3
Cover Page
Oct. 24, 2023
Cover [Abstract]  
Document Type 8-K
Document Period End Date Oct. 24, 2023
Entity Registrant Name MidWestOne Financial Group, Inc.
Entity File Number 001-35968
Entity Incorporation, State or Country Code IA
Entity Tax Identification Number 42-1206172
Entity Address, Address Line One 102 South Clinton Street
Entity Address, City or Town Iowa City
Entity Address, State or Province IA
Entity Address, Postal Zip Code 52240
City Area Code 319
Local Phone Number 356-5800
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common stock, $1.00 par value
Trading Symbol MOFG
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001412665
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